Purchase Solution

Determing the Budgeted Cash Disbursements for December

Not what you're looking for?

Ask Custom Question

The Bandeiras Company, a merchandising firm, has budgeted its activity for December according to the following information:

- Sales at $560,000, all for cash.
- Merchandise inventory on November 30 was $303,000.
- Budgeted depreciation for December is $38,000.
- The cash balance at December 1 was $30,000.
- Selling and administrative expenses are budgeted at $60,000 for December and are paid in cash.
- The planned merchandise inventory on December 31 is $268,000.
- The invoice cost for merchandise purchases represents 70% of the sales price. All purchases are paid for in cash.

The budgeted cash disbursements for December are what?:
$417,000
$402,000
$453,000
$431,000

Purchase this Solution
Solution Summary

This solution explains in a neat and step-wise manner how to calculate the budgeted cash disbursements for December. All calculations and the answer are provided.

Solution Preview

Cash Disbursement is
Merchandise Purchase = ...

Purchase this Solution
Free BrainMass Quizzes
Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.

Academic Reading and Writing: Critical Thinking

Importance of Critical Thinking

Basics of corporate finance

These questions will test you on your knowledge of finance.

View More Free Quizzes
Related BrainMass Solutions

  • Lowe Ridge

    All purchases are paid in cash. How much are the budgeted cash disbursements for December? Lowe Ridge has budgeted its activity for Dec according to the following information. 1. Sales at $400,000, all for cash. 2.

  • Budgeted total cash disbursements for selling expenses

    Reference: 9-15 If the company has budgeted to sell 16,000 Yutes in December, then the budgeted total cash disbursements for selling and administrative expenses for December would be: 224,000 280,000 504,000 494,000 When the

  • Hillyard Company: Solution of Master Budget Problem

    stock $500,000 (credit) 8 Retained earnings $109,000 (credit) 9 Actual sales for December and budgeted sales for the next four months are as follows: December $280,000, January $400,000, February $600,000, March $300,000

  • How To Prepare a Master Budget for Victoria Kite

    balance sheet for the months January through March 2005 Budgeted statement of cash receipts and disbursements for the months January through March 2005 Supporting schedules for the months January through March 2005 (2) Explain why there is a

  • An expert response to managerial accounting

    The excess (deficiency) of cash available over disbursements for December would be: A) $55,800 B) $37,900 C) $93,700 D) $17,900 =233400-157300-20300=55800 This solution gives calculations for expected cash, cost of purchases, cash disbursements

  • Budget Analysis

    What are total cash disbursements expected for the first quarter of 2008? A. $425,000. B. $625,000. C. $775,000 D. $350,000.

  • Cash budget/Income Statement/Balance Sheet

    Tuition revenue in December 2011 was $80,000, and tuition revenue budgeted for January 2012 is $90,000. 3.

  • P8-26 Picanuy Corp: Completing a Master Budget Quarter

    Can you explain how you get each answer for the Schedule of Expected Cash Disbursements Merchandise Purchases, Schedule of Expected Cash Disbursements Selling and Administrative Expenses, and The Cash Budget?

  • Cash budget

    For Company B, what are the budgeted cash disbursements?

View More Related Solutions